FMCG Sales Strategy: A one page structure

Every business needs a sales strategy. After all, without selling to shoppers or customers, there would be no need for businesses in the first place! But, hold on… What goes into a good sales strategy, for fast moving consumer goods?

In this article, find a short and simple FMCG sales strategy structure, a one pager, just to start the longer journey…

Step ONE: ASSESS where you play – the external setting

·???Shopper demands and behaviors are constantly redefining the marketplace. Demographic shifts, technological advancements and random increase in options are triggering the competitive environment that is causing fundamental changes in shopper behavior.

·????Retail channel landscape is rapidly fragmenting across a bigger variety of store formats and various online selling models. As a result, retail channels are blurring into hybrid and Omni-channel formats.

o??The retail channel mix evolution is impacted by local trade environment, where, in emerging markets, the traditional fragmented trade remains relevant adapting to changing environment.

o??Growths and disruption are coming from online and value formats. Proximity and convenience play a huge role here. Companies are under acute pressure to master new capabilities for the digital world that will allow them to adapt to Omni channel models.

·???Retailers are building their own brands and adapting personalized business models to meet shopper needs and the market environment. Private labels are getting stronger.

Step TWO: IDENTIFY where you are – the internal setting

·???????Go for a qualitative SWOT

o??Check your REAL STRENGTHS. E.g. do you have category diversity and/or geographic footprints? Do you have differentiated processes, tools and pockets of excellence? Etc.

o??Find your WEAKNESSES. E.g. are you losing out in fastest growing retail channels? Are you underrepresented and losing share with high growth customers? Are you struggling to adapt your marketing mix to shopper or customer needs? Etc.

o??Explore your short and long term OPPORTUNITIES. E.g. could you capitalize on opportunities for growth within the categories or retail channels? Do you have inconsistencies in execution? Could you build the sales force capabilities? Etc.

o??Prioritize THREATS basis the size and severity of the competitors. E.g. does the competitor have a more efficient execution process, more capable and motivated sales force? Will the competitor put all efforts to stop us to enter in its strongholds? Does the firm have more integrated ways of working, better optimized planning processes and better leveraging capabilities of technology to capitalize its dominance? Etc.

Step THREE: DEVELOP the Sales Strategy

·??????Make your STRENGTHS stronger. E.g. further strengthen your retail channel and shopper understandings at all levels of your organization. Go further where you are strong, create gaps… embed retail channel prioritization as the root of your sales strategy. Ensure Go-To-Market Strategy enables channel success

·???????Work with project timelines on your WEAKNESSES. Here you close the gaps… E.g. improve the way you adapt marketing mix or offerings to channel, shopper, and customer needs; improve sales planning process including the customers with a clear picture of success by channel and customer etc.

·???????Exploit low hanging OPPORTUNITIES first and then the difficult ones. E.g. drive excellence at the customer’s floor with implementation through right KPIs, right incentives, effective trading terms, and optimum operational capacity; build sales force functional capabilities on right competencies etc.

·???????Block THREATS with customized tactics. E.g. develop tailor-made promotions to break the competition stronghold customers; embed most updated technology in sales force automation and train the team to use it in full etc.

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